The Korea Atomic Energy Research Institute has denied an AFP report that the International Atomic Energy Agency investigated whether South Korea was developing weapons-grade plutonium.

The state-run think tank on Tuesday dismissed the report as groundless and said its pyro-processing technology is a joint project with an American institute to drastically reduce the caloric value and volume of nuclear fuel.

Saying a research facility under construction in Daejeon has nothing to do with plutonium production, it said the IAEA found nothing wrong with the facility in inspections in August and September.